Chapter 3: Project life cycle and project conception Flashcards
Introduction to Project Life Cycle
Projects typically progress through a life cycle that includes:
Conception: Initial ideas and feasibility studies.
Definition: Refinement of project scope and requirements.
Execution: Project implementation and control.
Operation & Disposal: Use of the system and its eventual retirement.
Life-Cycle Cost (LCC): The total cost of ownership, including installation, operation, and disposal.
Systems Development Cycle
Phase A: Conception (Initial Investigation, Feasibility Study, Proposal Preparation).
Phase B: Definition (Preliminary Design, Detailed Analysis, and Project Planning).
Phase C: Execution (Design, Production/Build, and Implementation).
Phase D: Operation (System Maintenance, Improvement, and Termination).
Key Difference:
PLC focuses on managing the project lifecycle, while SDC focuses on the technical development and operation of the system.
Phase A: Conception
3.3.1 Project Initiation and Need Identification
Goal: Recognize a problem or opportunity and define potential solutions.
Stakeholders Involved: Customers, users, and contractors.
Evaluation Process:
Assess if the problem is significant and feasible.
Conduct a brief investigation to validate the need.
Approaches to initiation:
Quick and Dirty Approach: Fast solutions without thorough analysis.
Systematic and Thorough Approach: Comprehensive evaluation of ideas.
3.3.2 Initial Investigation
Purpose: Evaluate whether the problem is worth pursuing.
Steps in Initial Investigation:
Fact-Finding: Interview managers and users, gather data, and review documents.
Problem Clarification: Identify objectives, solution alternatives, and associated risks.
Decision to Proceed: Criteria for continuation include addressing a real need, securing funding, and aligning with organizational goals.
3.3.3 Project Feasibility
Goal: Determine whether a proposed solution is viable and worth pursuing.
Feasibility Assessment Includes:
Technical Feasibility: Probability that the system will function as required.
Commercial Feasibility: Evaluating market demand and financial viability.
Life-Cycle Cost (LCC): Estimating total costs from development to termination.
Feasibility Decision Outcomes:
Theme A: If internal expertise is available, the project is handled in-house.
Theme B: If external expertise is required, an RFP is sent to external contractors.
3.4 Request for Proposal (RFP) and Contractor Selection
RFP Purpose: Solicit solutions from external contractors when internal resources are unavailable.
RFP Components:
Project objectives and requirements.
Proposal submission guidelines.
Selection criteria and evaluation methods.
Evaluation Process:
Proposal Screening: Filter proposals that align with project goals.
Contractor Evaluation Criteria:
Cost competitiveness
Experience and qualifications
Alignment with customer requirements
Types of Proposals:
Responsive Proposals: Aimed at winning the project.
Strategic Proposals: Submitted for visibility or relationship-building.
Unsolicited Proposals: Offered without an RFP, often through marketing efforts.
3.5 The Project Proposal and Feasibility Study
Purpose: Combine results from the feasibility study with the project plan to form a detailed project proposal.
Components of a Project Proposal:
Technical Section: Scope of work, deliverables, and performance requirements.
Cost and Payment Terms: Estimated cost and funding arrangements.
Management/Qualifications Section: Contractor’s experience and credentials.
Proposal Preparation Process:
Authorized by management due to time and cost commitments.
Reviewed by a project manager or proposal specialist.
Uses a Statement of Work (SOW) to define high-level project objectives.
3.6 Contractual Agreement and Negotiation
Purpose: Define responsibilities, costs, and timelines for the project.
Types of Contracts:
Fixed-Price Contract: Fixed amount regardless of actual costs.
Cost-Reimbursement Contract: Payment based on actual costs plus a fee.
Incentive Contract: Rewards or penalties based on performance.
Negotiation Process:
Clarifies technical and commercial terms.
Aligns expectations between the customer and contractor.
Helps manage project risks in complex, high-stakes projects.
3.7 Contract Statement of Work and Work Requisition
CSOW Purpose: Formal agreement that outlines the scope of work, schedules, and costs.
Key Elements:
End-item specifications.
Responsibilities and liabilities.
Methods for handling changes.
Work Requisition Process:
CSOW is divided into specific work tasks.
Work Requisition Documents are issued to workgroups for task execution.
Marks the transition from Phase A to Phase B.
Work Requisition/Work Order: Authorizes the project to begin.
3.8 Project Initiation: Variations on a Theme
Projects may be initiated differently:
Internal Projects: Managed by the organization itself.
External Projects: Contractors are hired through RFP/proposal processes.
Business Case Study: Proposes the product, market, and risk factors.
Large Technical Projects: Often involve more complex and lengthy processes.
3.9 Summary of Project Initiation and Authorization
The project initiation process involves multiple steps:
Initial investigation and feasibility study.
Approval and RFP issuance.
Proposal evaluation and contract negotiation.
Authorization and work commencement.
Stakeholder Identification: Essential to account for all parties affected by the project.
System Engineering: Considers the project’s impact on the end-item system throughout its life cycle.
Proposal Evaluation Criteria
Proposals are evaluated using:
Simple Rating: Rates proposals on multiple criteria, but treats them as equally important.
Weighted Rating: Assigns weights to criteria based on importance, providing a more nuanced evaluation.
Evaluation of Project Risk: Includes assessing contractor qualifications, financial stability, and past performance.
Proposal Selection
Selection is based on multiple criteria such as:
Price.
Ability to meet stated needs.
Return on investment.
Often includes pre-screening to eliminate proposals that do not meet minimum requirements.
Sustainability Considerations
Sustainability Focus: Reduce environmental impact during project life cycle.
Mitigation Measures:
Reduce greenhouse gas emissions.
Verify compliance with environmental laws.
Adaptation Measures:
Implement monitoring systems.
Regularly assess climate hazards and update risk assessments.
Environmental Impact Assessment (EIA)
Determines the project’s impact on the natural environment.
Key considerations:
Air and water quality.
Greenhouse gas emissions.
Impact on ecosystems and heritage resources.
